However, when I move using WASD, the mesh’s rotates opposite to the pawn’s direction. It’s blue arrow looks like a tail.
This makes aiming really hard to do.
In cases like this I always use TraceLine node for visualization of how my vectors really look like.
So add traceline by channel there to show that start and target points.
You also could use trace line to find exactly what is under mouse and look at that point.
Ps. for better finding out how those debug trace lines look set them to permanent, make few traces then eject and see from spectator perspective.